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Denso starts up Iowa plant to serve agriculture, construction

Keywords: Tags  Denso International America, Howard Sugi, Denso, Iowa plant, cooling systems, agricultural, construction equipment, electric power industry North American operations

CHICAGO — Automotive supplier Denso Corp. has opened a thermal assembly plant and warehouse facility in Urbandale, Iowa, to supply the construction, agriculture and electric power industries.

"With the opening of the Urbandale facility, Denso has localized the assembly of products for its North American customers that were previously assembled in the United Kingdom," Denso International America Inc. president and chief executive officer Howard Sugi said May 7. "We’re excited about the opportunities we see in the years ahead for our new site."

The new facility represents a $500,000 investment and immediately creates seven jobs. Aichi, Japan-based Denso expects to expand to 20 employees and nearly double the facility’s production within the next two years, it said.

The plant assembles cooling modules for the agricultural and construction industries, and handles pass-through products such as radiator assemblies and cooling modules for the construction, agriculture and electric power industries.

The new Iowa facility is part of Denso’s plan to invest nearly $2 billion in North America—of which $750 million is earmarked inside the United States—to strengthen and expand its product development and manufacturing capabilities, the company said.

The company has also had a plant in Cedar Falls, Iowa, since 1974 that mainly supports heavy duty, off-highway engine management and other manufacturers.

Denso employs more than 14,000 people at 28 companies and affiliates across North America, 10,000 of them at manufacturing plants across 10 states. North American sales totaled $6.8 billion for the fiscal year ended March 31, 2013.

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